Capital Market
Contributing to the development of Uzbek stock exchange and setting up a successful track record on managing public funds.
What Are Capital Markets?
Place where various entities trade different financial instruments.
The term capital market broadly defines the place where various entities trade different financial instruments. These venues may include the stock market, the bond market, and the currency and foreign exchange markets. Most markets are concentrated in major financial centers including New York, London, Singapore, and Hong Kong.

Capital markets are a crucial part of a functioning modern economy because they move money from the people who have it to those who need it for productive use. Capital markets are used to sell financial products such as equities and debt securities. Equities are stocks, which are ownership shares in a company. Debt securities, such as bonds, are interest-bearing IOUs.
These markets are divided into two different categories: primary markets—where new equity stock and bond issues are sold to investors—and secondary markets, which trade existing securities.

Primary markets are open to specific investors who buy securities directly from the issuing company. These securities are considered primary offerings or initial public offerings (IPOs). When a company goes public, it sells its stocks and bonds to large-scale and institutional investors such as hedge funds and mutual funds.

The secondary market, on the other hand, includes venues overseen by a regulatory body where existing or already-issued securities are traded between investors. Issuing companies do not have a part in the secondary market.

Market capitalization (also known as market value) is the share price times the number of shares outstanding (including their several classes) for listed domestic companies.
World market capitalization of listed companies as percentage of GDP for 2018 (https://data.worldbank.org/indicator/CM.MKT.LCAP.GD.ZS)
Uzbekistan has great potential to accumulate investments through stocks and bonds.
At low levels of economic development commercial banks dominate the financial system, i.e. bank lending is much more developed than the stock markets. At higher levels of economic and political development, domestic stock markets become more active and efficient than local banks. Open economies with sound macroeconomic policies, solid financial information and legal protection of property rights attract more investor capital. Stock markets cannot develop without these conditions, while banks can function even in countries with less reliable information and less solid legal rights.

Owing to current financial integration and communication technologies, worldwide presence of financial companies and cross-border capital flows are strengthening. Many companies cross-list their stocks on international exchanges to ensure lower cost of capital and liquidity of shares.
The Uzbekistan Capital Markets Today
Established an Intragovernmental Coordination Council for capital markets reforms
Established Project Execution Unit under the CMDA to support Coordination Council
Established a Capital Markets Development Fund to finance the reform
Cooperation with IFIs, bilateral agreements with international regulators to provide technical and financial assistance
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E-mail: info@uzomancapital.uz
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Uzbek-Oman Investment Company LLC
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